Banding slides

							                              Banding

“The basic premise behind banding is consistent with
psychometric theory. Small differences in test scores might
reasonably be due to measurement error, and a case
can be made on the basis of classical measurement theory for
a selection system that ignores such small differences, or at
least does not allow small differences in test scores to trump
all other consideration in ranking individuals in hiring.” (p.
82).
“There is legitimate scientific justification for the position that
small differences in test scores might not imply
meaningful differences in either the construct measured
by the test or in future job performance.” (p. 85).
From the Scientific Affairs Committee of the Society for Industrial-
Organizational Psychology (Report, 1994)
                   Banding Types


     Traditional                     SED
                              (standard error of the
(e.g., bands determined            difference)
based on trend analysis,
    expert opinion)        Using tests of statistical
                           significance to determine
       100 - 90            test bands considered
         89 - 80           equal
         79 - 70           Consideration of the SEM
                           of the test (standard
                           deviation, test reliability,
                           and level of confidence
                           desired)
                       Banding (cont.)

                      SED Banding Types


     Both use the top score to establish the top of the band

Fixed                                  Sliding
..                                        .
.           All those from the           ...       Bands slide down
            band are selected
..                                        .        after each person
            before those from                      is removed from
                                          ..
..          the lower band                ..       the top (bands re-
                                                   established)
.                                         .
..                                        ..
                    Banding (cont.)

Purposes of Banding ---


a) Fairness (e.g., test scores not significantly different
   are best treated as equivalent)
    Some loss of predictive power (as compared to
   top-down selection)


b) Increase diversity
   Greater diversity is obtained with the use of sliding
   bands and points for minority status
                        Banding (cont.)


Legal Status (e.g., Is banding a form of score adjustment?; Is it
a legitimate part of an affirmative action plan?)

Affirmative Action Plans (Important criteria to be legal) ---
a) Temporary in nature
b) Result of past discrimination
c) Not trample the rights of non-minorities
d) Voluntary
                       Banding (cont.)

• Legal if selection from bands is based on a variety of factors,
including minority preference (sole use of minority preference is
generally ruled illegal)
• Upheld regardless of part of consent decree, court order, or
voluntary AA plans (as long as selection from bands not based
solely on minority preference)



Organizational Implications ---
• Educate applicants, employees on rationale of banding (e.g.,
what it is, how it works)
• Explanation of AA (e.g., purposes, not a quota)
• Written policy describing the selection/promotion procedure